GÖTEBORG, Sweden--Regulatory News:
Comments on the first quarter by Gunnebo’s (STO:GUNN) President and CEO, Henrik Lange:
“In the first quarter of 2016 we report an organic growth which is the third consecutive quarter showing organic growth, this quarter driven fully by a good development in Asia. The operating profit and the operating margin excluding non-recurring items improved compared to last year. We can also report a positive free cash flow for the quarter which is an improvement of MSEK 150 compared to the first quarter of last year.”
Development of our business
“The worldwide increase in awareness about security has resulted in increased interest in many of Gunnebo’s solutions. Cash Management sales have also continued to develop positively in the first quarter. In addition to several orders received in Europe, we have also taken our first order in Vietnam.
Entrance Security has seen a positive development in sales during the quarter due to the increased security awareness. High-security doors and partitions are efficient solutions for any high-risk site that wants to raise its level of entrance security and control access across its location.
Safes & Vaults have shown a small sales decline overall during the quarter. The ATM business grew while the market for graded safes and vaults declined due to the continued consolidation of bank branches in many markets.
Electronic Security sales declined during the period, most notably in the Americas. In Europe, the largest market for Gunnebo’s Electronic Security offering, sales were flat.”
Improved result and free cash flow
“In the first quarter Gunnebo showed organic growth of 1% in sales with an operating margin excluding non-recurring items of 4.2%. This represents an improvement of 1.5 percentage points compared to the same period last year. The free cash flow was MSEK 7 for the quarter, an improvement of MSEK 150 compared to the same period last year.”
“At our Capital Market Day in mid-March we shared a summary of our updated strategy for profitable growth which we have now started to deploy throughout the organisation. For more information about our updated strategy, please see www.gunnebogroup.com.”
FIRST QUARTER 2016
· Net sales amounted to MSEK 1,390 (1,397), organically they increased by 1%.
· Operating profit increased to MSEK 53 (29) and the operating margin was 3.8% (2.0%).
· Operating profit excluding items of a non-recurring nature amounted to MSEK 58 (38) and the operating margin to 4.2% (2.7%).
· Profit after tax for the period totalled MSEK 20 (-11).
· Earnings per share were SEK 0.26 (-0.13).
· The free cash flow amounted to MSEK 7 (-143).
Full report is attached to this press release. Invitation to Telephone Conference on April 27, 09.30 (CET)
To participate in the conference, please sign up using the link below:
https://eventreg1.conferencing.com/webportal3/reg.html?Acc=922949&Conf=194449 Once registered, you will receive a phone number and a password.
09:25 Call in to the conference
09:30 Review of the interim report by Gunnebo’s President and CEO, Henrik Lange
09:50 Questions and answers
10:00 Closing of telephone conference
Copies of the presentation will be available 30 minutes prior to the telephone conference on www.gunnebogroup.com. Attending from Gunnebo AB are President and CEO Henrik Lange, CFO Susanne Larsson and Communication Director Karin Wallström.
A recording of the telephone conference will be available on www.gunnebogroup.com from late afternoon April 27.
GUNNEBO AB (publ)
Gunnebo discloses the information provided herein pursuant to the Swedish Securities Markets Act and/or the Financial Instruments Trading Act. The information was submitted for publication at 08.01 CET on April 27, 2016.
The Gunnebo Group is a global leader in security products, services and solutions with an offering covering Cash Management, Entrance Security, Safes and Vaults and Electronic Security for banks, retail, CIT, mass transit, public & commercial buildings and industrial & high-risk sites.
The Group has an annual turnover of €660 million, employs 5,500 people and has sales companies in 32 countries across Europe, Middle East & Africa, Asia-Pacific and the Americas as well as Channel Partners on over 100 additional markets.
We make your world safer.
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